Plaza Retail REIT (TSE:PLZ.UN) Stock Passes Above 50-Day Moving Average - Time to Sell?

Key Points

• Technical move: PLZ.UN crossed above its 50-day moving average (C$4.35), trading as high as C$4.48 and last at C$4.44 on volume ~38,437.
• Analyst outlook: RBC and Desjardins raised targets to C$4.75 and C$5.00 respectively, leaving a consensus rating of "Moderate Buy" and an average target of C$4.88 (one Buy, one Hold).
• Dividend vs. balance-sheet risk: The REIT announced a monthly dividend of C$0.0233 (annual yield ~6.3%, ex-dividend Apr 30), but it has low liquidity (current ratio 0.22, quick ratio 0.06) and a high debt-to-equity (124.16), indicating elevated financial risk.

Plaza Retail REIT (TSE:PLZ.UN - Get Free Report) shares crossed above its fifty day moving average during trading on Tuesday . The stock has a fifty day moving average of C$4.35 and traded as high as C$4.48. Plaza Retail REIT shares last traded at C$4.44, with a volume of 38,437 shares.

Wall Street Analysts Forecast Growth

PLZ.UN has been the subject of several analyst reports. Royal Bank Of Canada boosted their target price on Plaza Retail REIT from C$4.50 to C$4.75 and gave the stock a "sector perform" rating in a research note on Wednesday, March 4th. Desjardins boosted their target price on Plaza Retail REIT from C$4.75 to C$5.00 and gave the stock a "buy" rating in a research note on Wednesday, March 4th. One equities research analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, Plaza Retail REIT presently has an average rating of "Moderate Buy" and a consensus target price of C$4.88.

Plaza Retail REIT Price Performance

The company has a current ratio of 0.22, a quick ratio of 0.06 and a debt-to-equity ratio of 124.16. The firm has a market capitalization of C$490.37 million, a PE ratio of 8.87 and a beta of 0.72. The company has a fifty day moving average price of C$4.35 and a two-hundred day moving average price of C$4.25.

Plaza Retail REIT (TSE:PLZ.UN - Get Free Report) last posted its earnings results on Monday, March 2nd. The company reported C$0.22 earnings per share for the quarter. Plaza Retail REIT had a return on equity of 2.07% and a net margin of 9.40%.The business had revenue of C$31.80 million during the quarter.

Plaza Retail REIT Announces Dividend

The company also recently announced a monthly dividend, which will be paid on Friday, May 15th. Stockholders of record on Friday, May 15th will be issued a $0.0233 dividend. This represents a c) annualized dividend and a dividend yield of 6.3%. The ex-dividend date of this dividend is Thursday, April 30th. Plaza Retail REIT's payout ratio is presently 55.92%.

About Plaza Retail REIT

Plaza Retail REIT is an open-ended real estate investment trust and is a retail property owner and developer, focused on Ontario, Quebec and Atlantic Canada. Plaza's portfolio includes interests in approximately 268 properties totaling approximately 8.6 million square feet across Canada and additional lands held for development. Its portfolio largely consists of open-air centres and stand-alone small box retail outlets and is predominantly occupied by national tenants.

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